ESCROW
Designed to help protect large balances while simplifying transactions.
Sale and Purchase Transactions
Whether you’re closing an acquisition, holding indemnity funds, or managing a post-closing adjustment, American Deposit Management serves as an independent third-party escrow agent that protects client funds while simplifying the transaction process.
With over 15 years’ experience, our escrow solutions are designed specifically for mergers & acquisitions, private equity transactions, corporate acquisitions, business sales, and other non-real estate deals where security, transparency, and execution matter.
We also serve as an independent escrow agent for EB-5 investor funds. Learn more about our EB-5 solutions here.
Unsure if your transaction needs escrow? Download our free white paper to understand when and why escrow makes sense.
Protect Large Escrow Balances with Access to Extended FDIC Insurance
One of the biggest risks in M&A transactions is leaving millions of dollars sitting in a traditional bank account protected by only $250,000 in FDIC insurance.
ADM provides access to extended FDIC and NCUA insurance through our nationwide network of financial institutions, helping safeguard escrow balances throughout the life of the transaction.
Why Clients Choose ADM as an Escrow Agent
Private equity firms, attorneys, investment bankers, and business brokers trust ADM because we provide:
- Access to extended FDIC & NCUA insurance on large escrow balances
- Independent third-party fund administration
- Secure online portal with real-time visibility
- Dedicated transaction specialist from funding through release
- Fast onboarding for repeat transactions
- Accurate ACH and wire disbursements
- Experience managing billions in client funds
Reduce uninsured deposit exposure
Independent administration of client funds
Streamlined account opening and closing disbursements
Escrow Solutions for Every Transaction
Indemnity Escrow
Protect buyers and sellers by holding negotiated indemnification funds until contractual obligations have been satisfied.
Holdback Escrow
Retain a portion of the purchase price after closing to address future obligations, earn-outs, or post-closing adjustments.
Working Capital Adjustment Escrow
Hold funds while final working capital calculations are completed, ensuring accurate settlement between buyer and seller.
Earnest Money Escrow
Secure acquisition offers with an independent escrow account that protects both parties until closing.
Good Faith Deposit Escrow
Safeguard deposits during negotiations while providing confidence to both buyers and sellers.
Special Purpose Escrow
Customized escrow arrangements for unique transaction structures, regulatory requirements, milestone payments, or other negotiated terms.
Who We Serve
Private Equity Firms
Support acquisitions with secure fund management, closing disbursements, indemnity escrows, and post-closing fund administration.
M&A Attorneys
Reduce administrative burden while giving clients confidence that funds are held independently, securely, and released exactly according to the escrow agreement.
Business Brokers
Simplify business sales by using a trusted third-party escrow partner to coordinate deposits, closing proceeds, and final distributions.
Corporate Buyers & Sellers
Protect transaction proceeds while streamlining payment execution and post-closing obligations.
If you are interested in working with ADM, please fill out the form below and a member of our Escrow team will be in touch within one business day.
As an owner partner of a business brokerage company, I have found The American Deposit Management Company an invaluable resource for helping with our business brokerage transactions.
We do not have escrow or trust accounts with our firm, and always ask 3rd party vendors to provide these services. This is now my go-to company to use when attorneys are not holding and managing funds.
They offer extended FDIC insurance and are incredibly timely and responsive, adding another layer of seamlessness to our transactions."*
*This testimonial is no guarantee of future performance or success. This testimonial may not be representative of the experience of other clients.
Frequently Asked Questions
What types of transactions require escrow?
Escrow is commonly used for mergers and acquisitions, business sales, private equity transactions, holdbacks, indemnity obligations, earnest money deposits, working capital adjustments, and other transactions where funds must be held by an independent third party until contractual conditions are met.
Why use an independent escrow agent?
An independent escrow agent protects both parties by securely holding funds, administering the escrow agreement, and releasing money only when agreed-upon conditions have been satisfied.
Are escrow funds FDIC insured?
Traditional bank escrow accounts generally provide FDIC insurance up to applicable limits. ADM provides access to extended FDIC and NCUA insurance through its network of financial institutions, helping protect large escrow balances that often exceed standard insurance limits.
How quickly can an escrow account be opened?
Most escrow accounts can be established same business day, once documentation has been completed, allowing transactions to stay on schedule.
